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CITY COUNCIL AGENDA ITEM NO. 6

Meeting Date: August 26, 2003

Subject/Title: Approve and amended and new Purchase Agreement with Jim and Julie Moita for the Northwest Quadrant Infrastructure Project (Lone Tree Way Widening) now known as Lone Tree Widening – Segments 1 & 2, CIP Project No. 336-3127.

Submitted by: Engineering: B. Grewal/M. Kirby/M. Sullivan

Approved by: John Stevenson, City Manager

RECOMMENDATION
Approve a Resolution approving the following actions: (1) amending the agreement approved by Council on June 23, 2002, by Resolution No. 2625 including the document entitled “Temporary Easement and Agreement” for purchase of a fee parcel (property exchange) with Jim J. Moita and Julie F. Moita, trustees of The Jim and Julie Moita Trust Dated December 13, 1998, for a portion of real property identified as APN 019-010-028, generally located on the north side of Lone Tree Way adjacent to the railroad tracks and the intersection of the existing Fairview Avenue and authorizing the Mayor or City Manager and City Clerk or any of their designees to execute the amended agreement, including the revised temporary easement and agreement referred to in the amended agreement entitled “Amendment No. 1 to Agreement for Purchase and Sale of Interest in Real Property” document; (2) approve an agreement for purchase of a fee parcel consisting of 1.3 acres, for a portion of real property identified as APN 019-010-028, hereby accepting real property on behalf of the City, and authorizing the Mayor or City Manager and City Clerk or any of their designees to execute the purchase agreement, and such other documents as may be needed to complete the transaction including acceptance of the Deed.

PREVIOUS ACTION
On November 10, 1998, the City Council approved Resolution No. 98-196 that annexed the northwest area into the City of Brentwood.

On November 28, 2000, the City Council approved Resolution No. 2203 to take various actions. The actions included adding the Northwest Quadrant Infrastructure to the 2000/05 Capital Improvement Program, directing the City Engineer to initiate right of way acquisitions in order to widen Lone Tree Way, directing the City Engineer to initiate discussions with the development community to develop a Capital Improvement Financing Program (CIFP 2001-1) to assist in financing the required engineering and infrastructure to support the anticipated commercial development in this quadrant of the City, directing the City Engineer to hire a consultant to assist the City in developing environmental mitigation measures for this and other City infrastructure and, if possible, develop a mitigation bank to keep environmental mitigation expenditures within the City limits of Brentwood or immediately adjacent, to the maximum extent possible.

On February 27, 2001, the City Council approved Resolution No. 2246 approving the form and content of the Northwest Quadrant Infrastructure Design Engineering Fee Reimbursement Agreement and related actions.

On May 22, 2001, the City Council by Resolution No. 2299 certified and approved the Negative Declaration and adopted the 2001/2006 Capital Improvement Program (CIP) for the City of Brentwood including street, park, sewer, water and other municipal improvements to be constructed during the next five years.

On May 22, 2001, the City Council authorized the City Engineer to execute a Consultant Services Agreement with Cordoba Consulting, Inc. for project management services not to exceed $115,000 for the Northwest Quadrant Infrastructure, now known as Lone Tree Widening – Segments 1 & 2, CIP Project No. 336-3127.

On February 12, 2002, the City Council by Resolution 2464 authorized the City Manager to execute a Design, Engineering, Estimating and Project Management Contract with Pacific Gas and Electric for the under grounding of the existing 21 kV Overhead Distribution Power Line along Lone Tree Way from Jeffrey Way to Fairview Avenue.

On May 7, 2002, by Resolution No. 02-18, the Planning Commission confirmed that the proposed 2002/03 – 2006/07 Capital Improvement Program (CIP) is consistent with the adopted General Plan of the City of Brentwood as required by Section 6540l of the Government Code.

On May 28, 2002, by Resolution No. 2549, the City Council adopted the City’s 2002/03 – 2006/07 Capital Improvement Program that included the Northwest Quadrant Infrastructure, now known as Lone Tree Widening – Segments 1 & 2, CIP Project No. 336-3127 and the Lone Tree Way - Union Pacific Undercrossing Project, CIP 336-3134.

On July 9, 2002, by Resolution No. 2613, the City Council certified and adopted the Mitigated Negative Declaration for the Lone Tree Way Widening Project (a portion of the Northwest Quadrant), now known as Lone Tree Widening – Segments 1 & 2, CIP Project No. 336-3127.

On July 9, 2002, by Resolution No. 2610, the City Council approved executing a contract amendments for Professional Design and Service Agreement for the Northwest Quadrant Project, now known as Lone Tree Widening – Segments 1 & 2, CIP Project No. 336-3127, and approve a change order with Cordoba Consulting, Inc., to incorporate management and coordination assistance for the Lone Tree Way – Union Pacific Undercrossing Project, CIP Project No. 336-3134.

On July 23, 2002, the City Council directed the City Manager to negotiate a contract to purchase the Mendoza and Moita properties at the northwest corner of Lone Tree Way and the future Fairview Avenue extension.

On July 23, 2002, by Resolution No. 2625, the City Council approved the following actions: (1) approve an Agreement for Purchase of a Fee Parcel (Property Exchange) with Jim J. Moita and Julie F. Moita, Trustees of the Jim and Julie Moita Trust dated December 13, 1998 for a portion of real property identified as 019-010-028 and authorized the Mayor or City Manager and City Clerk or any of their designees to execute the Purchase Agreement and Temporary Easement and Agreement; (2) authorize the Mayor or City Manager and City Clerk or any of their designees to execute a Grant Deed to convey the City owned property identified as a portion of APN 019-010-022 & 027 (Property Exchange) from the City of Brentwood to JMI Properties Corporation, a California Corporation, described in said Purchase Agreement.

On May 6, 2003, by Resolution No. 03-31, the Planning Commission confirmed that the proposed 2003/04 – 2007/08 Capital Improvement Program (CIP) is consistent with the adopted General Plan of the City of Brentwood as required by Section 6540l of the Government Code.

On May 27, 2003, by Resolution No. 2893, the City Council adopted the City’s 2003/04 – 2007/08 Capital Improvement Program that included the Lone Tree Widening – Segments 1 & 2, previous known as Northwest Quadrant Infrastructure, CIP Project No. 336-3127 and the Lone Tree Way - Union Pacific Undercrossing Project, CIP 336-3134.

BACKGROUND
The original approved purchase agreement and temporary roadway easement with the Moitas was approved on July 23, 2002, but before we were able to close escrow it was discovered that there were discrepancies in the legals due to an error in an old survey. Mr. Moita hired a surveyor to try to determine where the error occurred. The surveyor determined after several months that the error affected several parcels. Therefore, a new survey was filed on February 20, 2003. In the interim the City and Mr. Moita determined that it would be beneficial for everyone to include another portion of his property in the property exchange. After considerable negotiations staff has reached a new agreement, which requires Council approval to amend the original purchase agreement and temporary roadway easement agreement and approve a separate agreement for the purchase of the additional 1.3 acres.

The following items are a synopsis to explain why these actions are necessary.

1. The improvements to Lone Tree Way will cause two parcels of land (City owned) to become un-developable. The logical disposition of these parcels would be to incorporate them into the Moita property. The City needs to acquire a strip of land off the frontage of the Moita property for widening of Lone Tree Way and a long-term temporary roadway easement due to the Lone Tree Way - Union Pacific Undercrossing Project, CIP 336-3134. (Approved by Council July 23, 2002, currently asking to be amended.)

The City owned parcels referred to above APN 019-010-022 & 027 were acquired from the Lopez families on June 21, 2001 and July 10, 2001. These two acquisitions were required for the widening of Lone Tree Way. Due to the set back requirements of residential homes along a roadway, it was necessary for the City to acquire the entire parcels from the Lopez families leaving the remainder of the parcels un-developable.

2. The conditions of approval on the Moita project require an extension of the future realigned Fairview Avenue as a private road to provide access for his project and provides cross access between the commercial sites to the west of the Moita property. Access from Lone Tree Way is less than desirable from a traffic safety perspective. The private road will also provide a more desirable access to the City owned property. The construction of this private road will sever off a portion of the Moita property from the rest of his parcel. The logical disposition of this triangular shape portion consisting of 1.3 acres would be to incorporate it with the City owned property shown on the attached site map.

3. As part of the widening of Lone Tree Way the City purchased the entire Mendoza property west of the Moita property. A portion of the property acquired was needed for the widening of Lone Tree Way; the remaining portion of the parcel consists of approximately 16,800 square feet and has little potential for development as an isolated parcel. The best development potential for this area would be to assemble the City owned parcel with the triangular shape (1.3 acres) portion of the Moita property.

The property exchanges therefore, would be beneficial for both the City and the Moitas. Appraisals have been obtained on all parcels to determine fair market value. The valuable consideration due the Moitas will be in the form of fee credits.

The widening of Lone Tree Way is necessary in order to support commercial and residential development of the area. The roadway system is currently under capacity and utility facilities are virtually non-existent. Major upgrades of all systems are required to support existing as well as proposed uses in the area.

FISCAL IMPACT
The Northwest Quadrant Infrastructure Project now known as Lone Tree Widening – Segments 1 & 2 will increase annual maintenance costs by approximately $40,000 per year.

The Business Plan is to sell the assembled property to an end-user. Staff estimates that the City will recoup the direct cost of the purchase and perhaps recoup some of the cost of the necessary right of way acquisitions.

Attachments:
Resolution
Site Map
Project Maps
Amendment No. 1
Temporary Easement and Agreement
Purchase Agreement for 1.3 acres

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BRENTWOOD APPROVING THE FOLLOWING ACTIONS: (1) AMENDING THE AGREEMENT APPROVED BY COUNCIL ON JUNE 23, 2002, BY RESOLUTION NO. 2625 INCLUDING THE DOCUMENT ENTITLED “TEMPORARY EASEMENT AND AGREEMENT” FOR PURCHASE OF A FEE PARCEL (PROPERTY EXCHANGE) WITH JIM J. MOITA AND JULIE F. MOITA, TRUSTEES OF THE JIM AND JULIE MOITA TRUST DATED DECEMBER 13, 1998, FOR A PORTION OF REAL PROPERTY IDENTIFIED AS APN 019-010-028, GENERALLY LOCATED ON THE NORTH SIDE OF LONE TREE WAY ADJACENT TO THE RAILROAD TRACKS AND THE INTERSECTION OF THE EXISTING FAIRVIEW AVENUE AND AUTHORIZING THE MAYOR OR CITY MANAGER AND CITY CLERK OR ANY OF THEIR DESIGNEES TO EXECUTE THE AMENDED AGREEMENT, INCLUDING THE REVISED TEMPORARY EASEMENT AND AGREEMENT REFERRED TO IN THE AMENDED AGREEMENT ENTITLED “AMENDMENT NO. 1 TO AGREEMENT FOR PURCHASE AND SALE OF INTEREST IN REAL PROPERTY” DOCUMENT; (2) APPROVE AN AGREEMENT FOR PURCHASE OF A FEE PARCEL CONSISTING OF 1.3 ACRES, FOR A PORTION OF REAL PROPERTY IDENTIFIED AS APN 019-010-028, HEREBY ACCEPTING REAL PROPERTY ON BEHALF OF THE CITY, AND AUTHORIZING THE MAYOR OR CITY MANAGER AND CITY CLERK OR ANY OF THEIR DESIGNEES TO EXECUTE THE PURCHASE AGREEMENT, AND SUCH OTHER DOCUMENTS AS MAY BE NEEDED TO COMPLETE THE TRANSACTION INCLUDING ACCEPTANCE OF THE DEED.


WHEREAS, on November 10, 1998, the City Council approved Resolution No. 98-196 that annexed the northwest area into the City of Brentwood; and

WHEREAS, on November 28, 2000, the City Council approved Resolution No. 2203 to take various actions. The actions included adding the Northwest Quadrant Infrastructure to the 2000/05 Capital Improvement Program, directing the City Engineer to initiate right of way acquisitions in order to widen Lone Tree Way, directing the City Engineer to initiate discussions with the development community to develop a Capital Improvement Financing Program (CIFP 2001-1) to assist in financing the required engineering and infrastructure to support the anticipated commercial development in this quadrant of the City, directing the City Engineer to hire a consultant to assist the City in developing environmental mitigation measures for this and other City infrastructure and, if possible, develop a mitigation bank to keep environmental mitigation expenditures within the City limits of Brentwood or immediately adjacent, to the maximum extent possible; and

WHEREAS, on February 27, 2001, the City Council approved Resolution No. 2246 approving the form and content of the Northwest Quadrant Infrastructure Design Engineering Fee Reimbursement Agreement and related actions; and

WHEREAS, on May 22, 2001, the City Council by Resolution No. 2299 certified and approved the Negative Declaration and adopted the 2001/06 Capital Improvement Program (CIP) for the City of Brentwood including street, park, sewer, water and other municipal improvements to be constructed during the next five years; and

WHEREAS, on May 22, 2001, the City Council authorized the City Engineer to execute a Consultant Services Agreement of Cordoba Consulting, Inc. for project management services not to exceed $115,000 for the Northwest Quadrant Infrastructure, now known as Lone Tree Way Widening – Segments 1 & 2, CIP Project No. 336-3127; and

WHEREAS, on February 12, 2002, the City Council by Resolution 2464 authorized the City Manager to execute a Design, Engineering, Estimating and Project Management Contract with Pacific Gas and Electric for the under grounding of the existing 21 kV Overhead Distribution Power Line along Lone Tree Way from Jeffrey Way to Fairview Avenue; and

WHEREAS, on May 7, 2002, by Resolution No. 02-18, the Planning Commission confirmed that the proposed 2002/03 – 2006/07 Capital Improvement Program (CIP) is consistent with the adopted General Plan of the City of Brentwood as required by Section 65401 of the Government Code; and

WHEREAS, on May 28, 2002, by Resolution No. 2549, the City Council adopted the City’s 2002/03 – 2006/07 Capital Improvement Program that included the Northwest Quadrant Infrastructure, now known as Lone Tree Widening – Segments 1 & 2, CIP Project No. 336-3127; and

WHEREAS, on July 9, 2002, by Resolution No. 2613, the City Council certified and adopted the Mitigated Negative Declaration for the Lone Tree Way Widening Project (a portion of the Northwest Quadrant), now known as Lone Tree Widening – Segments 1 & 2, CIP Project No. 336-3127; and

WHEREAS, on July 9, 2002, by Resolution No. 2610, the City Council approved executing a contract amendments for Professional Design and Service Agreement for the Northwest Quadrant Project, now known as Lone Tree Widening – Segments 1 & 2, CIP Project No. 336-3127, and approve a change order with Cordoba Consulting, Inc., to incorporate management and coordination assistance for the Lone Tree Way – Union Pacific Undercrossing Project, CIP Project No. 336-3134; and

WHEREAS, on July 23, 2002, the City Council directed the City Manager to negotiate a contract to purchase the Mendoza and Moita properties at the northwest corner of Lone Tree Way and the future Fairview Avenue extension; and

WHEREAS, on July 23, 2002, by Resolution No. 2625, the City Council approved the following actions: (1) approve an Agreement for Purchase of a Fee Parcel (Property Exchange) with Jim J. Moita and Julie F. Moita, Trustees of the Jim and Julie Moita Trust dated December 13, 1998 for a portion of real property identified as 019-010-028 and authorized the Mayor or City Manager and City Clerk or any of their designees to execute the Purchase Agreement and Temporary Easement and Agreement; (2) authorize the Mayor or City Manager and City Clerk or any of their designees to execute a Grant Deed to convey the City owned property identified as a portion of APN 019-010-022 & 027 (Property Exchange) from the City of Brentwood to JMI Properties Corporation, a California Corporation, described in said Purchase Agreement; and

WHEREAS, on May 6, 2003, by Resolution No. 03-31, the Planning Commission confirmed that the proposed 2003/04 – 2007/08 Capital Improvement Program (CIP) is consistent with the adopted General Plan of the City of Brentwood as required by Section 6540l of the Government Code; and

WHEREAS, on May 27, 2003, by Resolution No. 2893, the City Council adopted the City’s 2003/04 – 2007/08 Capital Improvement Program that included the Lone Tree Widening – Segments 1 & 2, previously known as Northwest Quadrant Infrastructure, CIP Project No. 336-3127 and the Lone Tree Way - Union Pacific Undercrossing Project, CIP 336-3134; and

WHEREAS, a portion of real property identified as APN 019-010-028, generally located on the north side of Lone Tree Way adjacent to the railroad tracks and the intersection of the existing Fairview Avenue in the City of Brentwood, is needed for Lone Tree Widening – Segments 1 & 2, previously known as Northwest Quadrant Infrastructure, CIP Project No. 336-3127 and a portion consisting 1.3 acres is need for best development potential of City owned property; and

WHEREAS, Purchase Agreements between the City of Brentwood and the vested property owner for property exchanges have been developed and is necessary to transfer property.

NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Brentwood, that the document entitled “Amendment No. 1 To Agreement for Purchase and Sale of Interest in Real Property, including the document entitled “Temporary Easement and Agreement” and the Purchase Agreement for 1.3 acres are hereby approved.

BE IT FURTHER RESOLVED that the Mayor or City Manager and City Clerk or any of their designees are authorized to execute the document entitled “Amendment No. 1 To Agreement for Purchase and Sale of Interest in Real Property, including the document entitled “Temporary Easement and Agreement” and the Purchase Agreement for 1.3 acres; and any related escrow documents including acceptance of the Grant Deeds and the document entitled “Temporary Easement and Agreement”.

BE IT FURTHER RESOLVED that the City of Brentwood hereby accepts the Grant Deeds, including the document entitled “Temporary Easement and Agreement”.

BE IT FURTHER RESOLVED that Mayor or City Manager and City Clerk or any of their designees are authorized to execute a Grant Deed to convey City owned property identified as a portion of APN 019-010-022 & 027, and such other documents as may be needed to complete the property exchange.

PASSED, APPROVED AND ADOPTED by the City Council of the City of Brentwood at a regular meeting held on the 26th day of August 2003 by the following vote:
 

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